Reasons Why Businesses Fail

Number 1: No competitive advantage
It all sounds cool and exciting, you’re gonna launch a business, you see them all around you so you think to yourself, why wouldn’t I be a successful entrepreneur. I have plenty ideas, I can figure this out.

No competitive advantage
It all sounds cool and exciting, you’re gonna launch a business, you see them all around you so you think to yourself, why wouldn’t I be a successful entrepreneur. I have plenty ideas, I can figure this out.

 No strategy
We were never the business plan type of entrepreneurs but we always understood what the plan for our business was. You need to know where you’re going and what steps you need to take.

If I do this -> then I can do that -> and then we can expand into this.

 Poor understanding of market needs
One of the simplest things to do that lead companies to failure is they ignore the customer. This might sound counter-intuitive, but you’d be shocked how wide-spread this issue is.

Listening to your customer is an invaluable practice that allows any company to mature, learn and adapt.

Wrong partners
Partnerships are always difficult, especially when the founders complement each other but grow to have different drives and priorities.

Lack of a vision
Most companies that survive have a long term vision, they know where they’re headed and what they’re looking to become.

Micromanaging
A 1 person business doesn’t make you a boss, you’re the only employee of a company you’ve just formed.Basically you’re still an employee, but now you’ve got way more things to take care of and you’ll be paid a lot less.

Not adapting quick enough
Speaking of your ability to remain nimble and adapt quickly.If you’re unable to read what’s happening with your business, to understand how things are going and more importantly WHERE things are going in the industry you’re in, you might be left behind.

https://www.alux.com/reasons-businesses-fail/